March 12, 2005

Groove will give Microsoft Office a boost
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Software Giant, Microsoft announced its acquisition of productivity software maker, Groove Networks Inc. to expand its Office software business with an application that lets groups of people work regardless of location - "virtual offices"

Collaborative software that allows employees to work together over the Internet from various locations has been growing in complexity and usage reports BBC.com

Groove founder Ray Ozzie - an industry legend -- will join Microsoft as one of its chief technical officers. Ray Ozzie, 49, created Lotus Notes for IBM in the 1980s, the first messaging application to achieve widespread sales. Microsoft expects large benefits from both acquiring the Groove Networks and hiring Mr. Ozzie.

"The acquisition of Groove complements Microsoft's collaboration offerings to include real-time, server-based and peer-to-peer solutions that address the ever-changing and more-complex work environment," said Jeff Raikes, group vice president of Microsoft's Information Worker Group. "Together, Microsoft and Groove will make anytime, anywhere collaboration a more natural and easy extension of how information workers coordinate their projects and document-centric work."

According to many analysts, this deal is to breathe new life into Microsoft's software development process and will positively affect all the aspects company is working in.

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